NEW YORK, June 13 (Reuters) - Citi on Tuesday raised its price forecasts for futures of raw sugar and cocoa traded at the Intercontinental Exchange (ICE) in New York, citing tight supplies and weather risks, while cutting its outlook for arabica coffee.

Citi Research, the market research unit of the U.S. bank, said in a report it was upgrading its 2023 price forecast for raw sugar futures by $0.007 per pound to $0.236 as it expected the physical market and trade flows for sugar to stay tighter for longer.

"With El Niño now confirmed and a potentially strong El Niño plausible later in the year ... key sugar producing regions in Asia, including India, Thailand, China, and Pakistan, could face drier and/or warmer than normal weather, leading to lower crop yields," the report said.

Citi increased its 2023 price forecast for cocoa by 5.2% to $2,830 per tonne, mainly due to weather risks, but it said a market correction could happen soon as funds are carrying large long positions.

It cut its 2023 price forecast for arabica coffee by 5 cents to $1.85 per pound.

"We have adjusted our supply/demand projection to a smaller 2.4 million bags deficit for the 2022/23 season versus the 3.5 million bags in early May, given stabilizing estimated production and slightly reduced forecasted global consumption," the bank said.

(Reporting by Marcelo Teixeira; Editing by Richard Chang)